In this article, we will be taking a look at the 15 biggest Japanese companies with operations in USA.
Despite being destroyed in World War II, Japan’s economic recovery and growth over the past few decades has been nothing short of incredible, all the way to becoming the third largest economy in the world, after the United States and China. Japan is also home to the fifth largest stock exchange in the world, while also being counted in the top five in terms of both the biggest importers and biggest exporters. Further, the country is home to the second largest foreign exchange reserves in the world and is also among the biggest consumer markets in the world.
Japan is known for its advancements in technology, often being ranked among the top innovative countries in the world in terms of patent filing. Further, the economy of the country focuses on precision goods and high-tech products which include hybrid vehicles, robotics and integrated circuits. In addition, Japan is also the biggest creditor nation in the world, running annual trade surpluses and is the third wealthiest country in the world too.
All of these advancements are despite the fact that some of the country’s cities were reduced to rubble in World War II while the asset price bubble collapse in 1991 resulted in what many people call “the last decade” where GDP continued to fall over a period of 12 years, not to mention major national disasters which also had an impact on the country’s economy including the Fukushima nuclear disaster.
While some major Japanese companies operate only in Japan or in Asia, many companies have gone global and operate in dozens of countries across the globe including the United States. The U.S. has a middle-class population with continuously increasing disposable income. This makes the US an excellent target for companies selling products and services. In fact, thousands of Japanese companies have operations in the U.S. even though the number has declined slightly.
A survey by Teikoku Databank showed that in November 2020, 6,702 Japanese companies had operations in the U.S. which was a decrease of 112 companies from the last survey six years ago. 2,456 of these companies were engaged in manufacturing while 1,488 companies were in wholesale and 1,340 companies provided services. Among manufacturing companies, many were engaged in the automobile industry which include the two biggest Japanese companies with operations in USA. Other industries where Japanese companies are engaged are finance/ insurance and restaurants as Japanese cuisine continues to grow in popularity. Half of these companies are based in California due the large consumer market there attracting Japanese companies, not to mention that it is already a base for shipping between the U.S. and Japan. New York is the next state with the most Japanese companies followed by Illinois which is home to most of the Japanese automobile companies.
The 15 biggest Japanese companies with operations in USA had a combined revenue of more than $1.5 trillion, in addition to almost $90 billion in profits and more than $3 trillion in assets. To determine our ranking, we considered their revenue and profits as per Fortune Global 500, assigning 30% weightage to each criterion while assets and employees were assigned 20% weightage each.
Photo by Lenny Kuhne on Unsplash
15. Toyota Tsusho
Total revenue of the company (in millions): $71,464
Total profits of the company (in millions): $1,978
Total assets of the company (in millions): $50,598
Total employees of the company: 65,218
Toyota Tsusho has a global presence which includes more than 150 offices and over 900 subsidiaries one of which is Toyota Tsusho America Inc. which is engaged in automotive, machinery, energy, electronics and chemicals in addition to insurance and agribusiness.
14. Panasonic
Total revenue of the company (in millions): $65,774
Total profits of the company (in millions): $2,273
Total assets of the company (in millions): $66,086
Total employees of the company: 240,198
Panasonic used to be the biggest manufacturer of consumer electronics in the late 20th century and still maintains a sizable market share globally. The company initially entered the U.S. market in 1961 when it started manufacturing television sets.
13. Marubeni
Total revenue of the company (in millions): $75,742
Total profits of the company (in millions): $3,777
Total assets of the company (in millions): $67,997
Total employees of the company: 49,623
Marubeni Corporation is one of the leading companies in pulp trading and cereal in addition to engaging in various other industries. It entered the U.S. in 1951 where it is established as the Marubeni America Corporation and headquartered in New York City.
12. Seven & I Holdings Co.
Total revenue of the company (in millions): $78,458
Total profits of the company (in millions): $1,890
Total assets of the company (in millions): $75,888
Total employees of the company: 127,196
Seven & I Holdings Co. is a retail company which acquired majority control of 7-Eleven in 1991. Its subsidiary 7-Eleven Inc. is headquartered in Dallas while the convenience store has more than 78,000 locations, with the vast majority being in the United States.
11. Nippon Steel
Total revenue of the company (in millions): $60,612
Total profits of the company (in millions): $5,673
Total assets of the company (in millions): $72,089
Total employees of the company: 115,667
Nippon Steel is one of the largest steel producers in the world by volume and operates in the U.S. under the name of Nippon Steel North America, Inc. where it’s headquartered in Houston, Texas.
10. Dai-ichi Life
Total revenue of the company (in millions): $73,082
Total profits of the company (in millions): $3,644
Total assets of the company (in millions): $542,633
Total employees of the company: 62,294
Dai-ichi Life is the third largest life insurance company in Japan and established its first office in the U.S. in 1975 in New York City.
9. Nissan
Total revenue of the company (in millions): $74,994
Total profits of the company (in millions): $1,918
Total assets of the company (in millions): $134,844
Total employees of the company: 141,983
Nissan is one of the earliest Japanese companies to have a connection with the U.S., when machinery and processes for car assembly were imported from America. Nissan, like other major Japanese car manufacturers, has assembly facilities in the U.S.
8. Sony Group Corporation (NYSE:SONY)
Total revenue of the company (in millions): $88,320
Total profits of the company (in millions): $4,781
Total assets of the company (in millions): $79,468
Total employees of the company: 41,852
One of the biggest technology companies in the world, Sony Group Corporation (NYSE:SONY) is one of the biggest manufacturers of electronic products in addition to being the largest video game publisher and biggest video game console company globally, thanks to its PlayStation series. Sony Group Corporation (NYSE:SONY) is also one of the most cash rich companies in Japan. Sony Group Corporation (NYSE:SONY) has a huge presence in the U.S. with Sony Music Entertainment being headquartered in New York City and Sony Pictures Entertainment producing major films in the country as well.
7. Nippon Life
Total revenue of the company (in millions): $74,392
Total profits of the company (in millions): $3,086
Total assets of the company (in millions): $727,962
Total employees of the company: 92,737
Nippon Life is one of the largest life insurance companies in the world, and has significant operations in the U.S. too where it operates through Nippon Life Insurance Company of America and has several offices in New York, Chicago and Los Angeles among other cities.
6. Sumitomo Mitsui Financial Group, Inc. (NYSE:SMFG)
Total revenue of the company (in millions): $104,664
Total profits of the company (in millions): $8,142
Total assets of the company (in millions): $122,916
Total employees of the company: 44,336
Sumitomo Mitsui Financial Group, Inc. (NYSE:SMFG) is one of the biggest banks in the world and operates in dozens of countries. Sumitomo Mitsui Financial Group, Inc. (NYSE:SMFG) also has offices in the United States including San Francisco, Los Angeles, Chicago and New York City, among others.
5. Hitachi
Total revenue of the company (in millions): $91,374
Total profits of the company (in millions): $5,194
Total assets of the company (in millions): $114,385
Total employees of the company: 368,247
Hitachi is one of several conglomerates including among the biggest Japanese companies with operations in USA, providing sustainable solutions pertaining to technology, industrial services and equipment, healthcare and life sciences solutions, rail and automotive products, and energy solutions among others. It has around 25,000 employees across 72 group companies in the U.S., where its operations began after exporting 30 electric fans back in 1926.
4. Itochu
Total revenue of the company (in millions): $109,215
Total profits of the company (in millions): $7,302
Total assets of the company (in millions): $100,104
Total employees of the company: 136,722
Itochu is one of the biggest Japanese sogo shosha, which refers to general trading companies. The company specializes in various industries including textiles, energy/chemicals, food, real estate and machinery. After World War I, the company increased its international presence by opening offices in several countries, including the United States.
3. Mitsubishi Group
Total revenue of the company (in millions): $153,690
Total profits of the company (in millions): $8,345
Total assets of the company (in millions): $180,479
Total employees of the company: 80,728
A group of several Japanese multinationals, Mitsubishi Group has been active in the United States for decades, with one of its main subsidiaries, Mitsubishi UFJ Financial Group, Inc. (NYSE:MUFG), listed on the New York Stock Exchange as well. Mitsubishi UFJ Financial Group, Inc. (NYSE:MUFG) is one of the biggest financial holding companies in the world and is the biggest bank in Japan.
2. Honda Motor Co., Ltd. (NYSE:HMC)
Total revenue of the company (in millions): $129,546
Total profits of the company (in millions): $6,294
Total assets of the company (in millions): $197,456
Total employees of the company: 204,035
Honda Motor Co., Ltd. (NYSE:HMC) is the second-largest automotive manufacturer in Japan and one of the biggest globally. In 2019, Honda Motor Co., Ltd. (NYSE:HMC) sold more than 1.6 million vehicles in just the U.S. where it has established assembly plants. In fact, around 90% of all vehicles sold by Honda Motor Co., Ltd. (NYSE:HMC) in the U.S. are assembled in the country as well. In 2013, the company became the first Japanese automaker to be deemed a net exporter from the United States.
1. Toyota Motor Corporation (NYSE:TM)
Total revenue of the company (in millions): $279,377
Total profits of the company (in millions): $25,371
Total assets of the company (in millions): $557,522
Total employees of the company: 327,817
Easily topping the list of the 15 biggest Japanese companies with operations in USA is Toyota Motor Corporation (NYSE:TM), one of the biggest car manufacturers in the world. Toyota Motor North America is responsible for overseeing all operations of the Toyota Motor Corporation (NYSE:TM) in the U.S., Mexico and Canada and is headquartered in Texas, with officers in several other cities as well.
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Disclosure: None. 15 biggest Japanese companies with operations in USA is originally published at Insider Monkey.
